Tuesday, 21 October 2014
Last updated 2 hours ago
Feb 1 2013 | 11:35am ET
Two top private equity players think the industry's brand may be a little worn and tattered—and ready for a replacement.
On separate conference calls, Blackstone Group CEO Stephen Schwarzman and President Hamilton James brought up the issues surrounding the name, "private equity." The brand took a beating during the financial crisis, but especially during last year's presidential campaign, which featured former p.e. executive Mitt Romney as the Republican challenger to President Barack Obama.
James said it was critical for the industry "to have a pristine reputation" in the current regulatory environment. "We need to be in an industry that's widely trusted."
James, half-seriously according to The New York Times, floated "clarity equity" as a possible name.
Schwarzman suggested that marketing was the key reason private equity needs to shed the bad reputation, and pointed to activist investors—formerly known, alongside private equity firms, as corporate raiders.
"We could actually learn something from these guys in terms of renaming themselves," Schwarzman said. "Private equity apparently doesn't have as attractive a marketing name as activists. Just the name change makes these guys better."
If their cohorts take up the rebranding challenge, it won't be the first time p.e. has undergone a marketing makeover: The once more-common term "leveraged buyout" fell by the wayside after the 1980s, when it became a buzzword for corporate greed and malfeasance.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...